Decision Making Criteria for Financial Plans

Business Plans chart a course of corporate action and review with supporting financial analysis and milestones for effective and fiscally-aware completion of company mission, goals and objectives.

How you accomplish your Financial Plan over time will best be realized through monitoring, evaluation and periodic review of your Financial Plan using specific and approved Decision Making Criteria. 

1. Break-Even Analysis: the point at which cost or expenses and revenue are equal.
2. Net Present Value: the sum of the present values (PVs) of the individual cash flows, minus expenses, of the same entity
3. Internal Rate of Return; the rate of return used in capital budgeting to measure and compare the profitability of investments.
4. Balanced Scorecard: the identification of a small number of financial and non-financial measures and attaching targets to them.

Most Important note!

End Part One: Basic Contents of Business Plans

Begin Part Two: Things to Consider in Business Planning

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